Course co-ordinator(s): Andrea Sneddon (Edinburgh).
Aims:
To introduce fundamental practical and technical issues in the actuarial management of UK defined benefit occupational pension schemes.
Detailed Information
Course Description: Link to Official Course Descriptor.
Pre-requisite course(s): F70LA Life Insurance Mathematics A & F70LB Life Insurance Mathematics B .
Location: Edinburgh.
Semester: 1.
Learning Outcomes: Subject Mastery
At the end of studying this course, students should be able to:
- describe the calculation of benefits under the following pension schemes: UK state pensions, personal pensions and occupational pension schemes (both defined benefit and defined contribution)
- discuss the advantages and disadvantages of the following features of pension schemes : funding, pay-as-you-go, taxation, accounting requirements, trustees, integration with basic state pension, actuarial reduction and enhancement to pensions
- derive commutation functions appropriate to the scheme design
- show how to value a pension scheme using emerging cost techniques and discuss the relative merits of commutation functions and emerging costs
- calculate the standard fund and standard contribution for the most common funding methods
- describe how to deal with deficits and surpluses
- discuss how the recommended contribution rate and solvency level change for each funding method under differing methods
- describe the features of the asset classes that pension schemes invest
- describe the different purposes of an actuarial investigation
- describe how to determine a valuation basis for economic and demographic assumptions
- perform an analysis of surplus
Assessment Methods: Due to covid, assessment methods for Academic Year 2021/22 may vary from those noted on the official course descriptor. Please see:
- Maths (F1) Course Weightings 2021/22
- Computer Science (F2) Course Weightings 2021/22
- AMS (F7) Course Weightings 2021/22
SCQF Level: 10.
Other Information
Help: If you have any problems or questions regarding the course, you are encouraged to contact the course leader.
Canvas: further information and course materials are available on Canvas